We’ve created paper trading to let you guys practice and sharpen your trading skills without risking real money. One of our goals is to provide you with a platform that lets you experience live trading conditions for free. It’s always better to test trading strategies using virtual money rather than real money, isn’t it?
As you probably know, orders were filled using the last traded price for the sake of simplicity. We decided to replicate live trading conditions by switching to the best bid/ask prices. As soon as you place an order, it gets filled once the best available price is received, just as if you were trading with a real broker!
You can see those buy/sell orders in your floating trading panel, order dialogue or the DOM (Depth of Market). DOM also lets you see volumes for the best bid/ask prices.
Note that you won’t be able to trade indices directly anymore as they don’t have bid/ask prices. You can still trade them through derivatives though. We know that products such as TVC:SPX (S&P 500 Index), TVC:DXY (US Dollar Currency Index) are very popular among our users so we didn’t change the way you trade them.
Cryptocurrency trading hasn’t changed much. Last traded price is still being used when trading pairs that include fiat currencies such as BITSTAMP:BTCUSD or COINBASE:LTCEUR. However, when you place an order it gets filled as soon as the last traded price is received.
Also, since we are replicating live trading conditions, we made it possible to trade only during the trading session. What this means for you is that a limit or stop order won’t get filled until the market opens. Just like in real life, if you place a market order when the markets are closed your order will get rejected. By the way, keep in mind that pre- and post-market trading is not supported so don’t expect your order to get filled outside of normal trading hours.
Go ahead and give it a try! Paper Trading is completely free and available to all registered users regardless of the account type.
Stay tuned for more updates as we keep making Paper Trading better!